Lease Rates in Reeves County

I am getting inquiries hot and heavy on my small acreage in Blk 57 T1 Sec 34. Has something changed? We had a company pull out on us last year right before signing. Now there seems to be increased interest. What seems to be the going rate? Thanks for any help.

I'm in the same situation. We have property in Blk 55 Twp5 that we've been trying to lease for 2 years.. almost had it leased in May but Arabella backed out. My phone has been ringing off the wall with interest in this section this last week. Still need to discuss this with my attorney but going to shoot for $3,000 NMA?

We were originally offered 2500.00 ac last year. I may start at 3500.00 just to test the waters.

Susan, since February there have been several excellent wells drilled in a couple of zones within the Wolfcamp Shale. Up until then, NW Reeves was down somewhat due to some very poor wells in the Bone Spring Formation, found above the Wolfcamp. The big boys like Shell and Oxy are moving in. Anadarko has started permitting wells in Reeves after an extended absence. Cimarex, Energen and especially EOG (who got this thing going in Feb), are all having successes.

I have visited these companies websites and studied their presentations and quarterly reports. They are very, very excited with all they are seeing. I suspect that lease bonuses will continue to go up. Best I’ve recently heard is in the $2,000-2,500 range.

If we don’t ask, we won’t get! Right!

Thanks Stephen. Hoping for good news.

Stephen Long said:

Susan, since February there have been several excellent wells drilled in a couple of zones within the Wolfcamp Shale. Up until then, NW Reeves was down somewhat due to some very poor wells in the Bone Spring Formation, found above the Wolfcamp. The big boys like Shell and Oxy are moving in. Anadarko has started permitting wells in Reeves after an extended absence. Cimarex, Energen and especially EOG (who got this thing going in Feb), are all having successes.

I have visited these companies websites and studied their presentations and quarterly reports. They are very, very excited with all they are seeing. I suspect that lease bonuses will continue to go up. Best I've recently heard is in the $2,000-2,500 range.

If we don't ask, we won't get! Right!

Susan, it looks like your acreage is a couple of miles to the south of some of EOG’s hot and heavy drilling in sect.14. Also looks like wells are permitted in the next sections NW and East of you, so plenty of activity.

Aim high and see what happens?

I sure will! Thanks so much!



Stephen Long said:

Susan, it looks like your acreage is a couple of miles to the south of some of EOG's hot and heavy drilling in sect.14. Also looks like wells are permitted in the next sections NW and East of you, so plenty of activity.

Aim high and see what happens?

57t1 is a good block to be in at this time. We have acreage in 58T1 section 28 that appears to be doing very well but I can't give enough info because it's just come on line. We received $2500/acre in 56T2 section 14 earlier this year. I tried for 3k and had no luck. I'm fine with it because our section 22 of the same block has been drilled and just completed. It looks like it's going to be a really good well also.

As to 55T5, we had leased our acreage in sections 30 and 34 to Arabella a while back. I believe they flipped them to someone else and they have since expired. Currently open. We also have 250 acres in section 31 that is open. I will say that we have had good luck most places in Reeves at $1500 as a minimum. We just leased acreage all the way East in Reeves for $1500 that hasn't been leased in many years. specifically PSL C-1 section 15.

Thanks so much for the information and hello neighbor!

Hi Wade,

Thanks for sharing your good information. Can you let me know

which part of Section 14 and how many acres, please. We may be

neighbors also.

Thanks,

gwen hickey ward



Wade Meeker said:

57t1 is a good block to be in at this time. We have acreage in 58T1 section 28 that appears to be doing very well but I can't give enough info because it's just come on line. We received $2500/acre in 56T2 section 14 earlier this year. I tried for 3k and had no luck. I'm fine with it because our section 22 of the same block has been drilled and just completed. It looks like it's going to be a really good well also.

As to 55T5, we had leased our acreage in sections 30 and 34 to Arabella a while back. I believe they flipped them to someone else and they have since expired. Currently open. We also have 250 acres in section 31 that is open. I will say that we have had good luck most places in Reeves at $1500 as a minimum. We just leased acreage all the way East in Reeves for $1500 that hasn't been leased in many years. specifically PSL C-1 section 15.

Stephen,

I have tried to look up my acreage on the RR site but it only shows a PSL description instead of Tp RR and it is owned by someone else. What am I doing wrong? I am no longer receiving calls or emails on the propery. Does this mean that nothing was found? If my cousins have signed with someone, would they be able to drill on my property without my consent/


Stephen Long said:

Susan, since February there have been several excellent wells drilled in a couple of zones within the Wolfcamp Shale. Up until then, NW Reeves was down somewhat due to some very poor wells in the Bone Spring Formation, found above the Wolfcamp. The big boys like Shell and Oxy are moving in. Anadarko has started permitting wells in Reeves after an extended absence. Cimarex, Energen and especially EOG (who got this thing going in Feb), are all having successes.

I have visited these companies websites and studied their presentations and quarterly reports. They are very, very excited with all they are seeing. I suspect that lease bonuses will continue to go up. Best I've recently heard is in the $2,000-2,500 range.

If we don't ask, we won't get! Right!

I believe you might need the help of a landman. Best to find someone who cn go and check records and give you accurate answers. Perhaps someone here can refer a suitable person for you, should you go this route. Lease bonuses have moved up significantly in many parts of Reeves, so I would advise to get on top of it ASAP!

Thanks Stephen,

I will do that.

Gwen Hickey,

we have the E/2 of the NW/4 and the W/2 of the NE/4 of section 14 block 56T2